DPO Group acquires PayFast
DPO Group, a Kenya-based payment service provider (PSP), announced its acquisition of PayFast, one of the largest payment processors in South Africa.
The deal by the Nairobi headquartered firm was executed through a mix of shares and cash, with the PayFast management team remaining key shareholders in DPO Group. Following the transaction, DPO Group will be providing services to over 100,000 merchants across 18 African markets.
PayFast has shopping cart integrations in Africa and its instant electronic funds transfer (EFT) service provides consumers with a secure alternative for making online payments.
The integration of PayFast into DPO’s services will increase the range of payment options available to DPO’s business customers, whilst providing a Pan-African solution to PayFast’s existing customer base. This merger will allow all the Group’s services to be available on a single platform to both DPO Group and PayFast merchants significantly improving their capacity to do business not only across Africa but also worldwide.
“PayFast is a natural fit for DPO Group and this deal strategically follows our acquisitions of PayGate, VCS, Paythru and SiD since 2016,” says Offer Gat, Chairman and co-founder of DPO Group.
Eran Feinstein, CEO and co-founder of DPO Group says: “PayFast’s deep experience of payment processing and facilitation in South Africa complements and expands the services we can offer our business customers via the most diversified and robust suite of online payments options available in Africa.”
In 2016 DPO received investment from Apis Growth Fund I, a Private Equity fund managed by Apis Partners LLP. The fund invests in innovators in the financial services sectors in Africa and Asia. The Fund supported this investment and will continue to facilitate DPO’s expansion across Africa; the broadening of its client base and investment in technology.
Jonathan Smit, managing director and co-founder of PayFast, says: “Integrating our processing and facilitation capability with the range of online payment services offered by DPO and its huge geographical reach across 18 countries in Africa is an extremely exciting opportunity for both companies”.
PayFast currently enables over 55,000 South African merchants to make payments and grow their businesses through e-commerce opportunities.
Through this acquisition, DPO Group aims to enable the growth of African businesses by offering its merchants a choice of payment services and providing them with all the necessary tools to make and receive payments throughout Africa and internationally.